RE:RE:What is the problem with this stock?
Recently Sprott came up with a new gold mining ETF (SGDM). initially MUX was 2% of the holdings. SInce Mcewen didnt meet production and thus production declined and they have stalled ElG2 the production growth has been low. Because SGDM has a mandate to cut stocks with lower production and over weight the stocks that have increasing production it looks like MUX got taken to the Shed recently by SGDM and no longer appears on the list. In the short run this forsure has put pressure on the stock. At one time I had caluclated how many shares SGDM held of MUX but do not have the info on hand at the moment.
When silver and gold prices recovery growth prospects will be better for MUX and in theory could re-enter SGDM giving the stock a large influx of buying. The float on MUX is alot smaller then the typical gold stock being 48% inst. owned.
That said might be a few years out before the big gains.